Why have outsourcing initiatives become a key element in shaping functional tactics for today’s global companies?


Topic 1

Why have outsourcing initiatives become a key element in shaping functional tactics for today’s global companies? As a team, choose a Fortune 1,000 company that has adopted the use of outsourcing and has done so successfully. Work with your assigned teammates in the Team Discussion Area to create a collaborative post in this Discussion Board addressing the outsourcing question per your team’s company of choice. Support your finding through proper citation. My team chose Google and their outsourcing to India.


Outsourcing is one of the few new trends and patterns in the market today. To outsource or not, is a one billion question that most businesses are striving to answer with the increased competition in the market today. As the days go by, outsourcing continues to be viewed and seen as a significant and paramount in the realization of organizational goals and strategies despite the fact that not all outsourcing plans go as expected (Asher, 2007). Outsourcing comprises of practices implemented by different companies to reduce the costs of its operation by transferring a portion of its work to outside suppliers rather than performing them internally.

Google represents one of the most successful companies in the world today due to its constant and rapid innovation in the field of technology. However, for many years, Google has been outsourcing Information Technology (IT) in India.   The primary reason behind Google’s decision to outsource non-core aspects of its work life IT infrastructure management, software development and maintenance to IT services firms is to keep their running costs at the lowest level possible. Moreover, successful IT outsourcing strategies have helped the software giant to control its expenses, gain a better competitive position, and propose innovative solutions without sacrificing quality of the services they offer as well as the transfer of risk from their hands to those of the outsourced company (Asher, 2007). Moreover, outsourcing Information Technology services from India Google Android Development Companies, the multinational company has enjoyed continuous support from these companies that is always available through the email as well as an excellent and wide development centers available with least security systems. Moreover, in India experienced Android developers are available at a lower price, and the company does not have to incur start-up or hidden costs thus making outsourcing viable and beneficial to them.


Asher, M. G. (2007). Demographic complementarities and outsourcing: implications for India. . IIMB Management Review, 19(2),, 93-102